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4/25/2011 11:15AM

Markets Hub: Silver Prices Flirt With $50

Tatyana Shumsky explains why silver is flirting with $50 an ounce, a level not seen since 1980 and near the precious metal's all-time high. Plus, Brett Arends on why he thinks the silver market has gone nuts.

This transcript has been automatically generated and may not be 100% accurate.

... I ... they were not concerned ... silver market yet silver this morning all new to the island into a nominal with the nominal all-time high of fifty three ... the Beagle in eighteen eighty ... getting close to that of talk about some of the hot market is going on new Dow Jones Newswires Tiana Shumsky covers metals for us to talk us about ... children ... yes the US over ... you know what ... what ... I mean it's always kind of like a touchy thing on the one hand you've got in a set of a lot of excitement ... about some back as the precious metal in the sand right on the other hand you've ... got a lot of investors who are looking at gold looking at fifteen hundred dollars an ounce indie ... icon did that ... a lot of the fifteen hundred embassy looked ... at her age I ... gold contract want the cheese is about a hundred fifty thousand dollars that's a helps ... but that's in your palm ... the the the ... his well even now when ... I'm sewing in the mid fifty dollars an ounce and you're still getting ... into its marble tile obese by five percent of the day is a lot ... and ... this morning alone silver was up options ... but looking at it from that point of Vineet Jain you know what it still offers me the same on security ... maybe a little bit less than gold but ... I would have been a month for only a write down the busy looking at ... him and as you say Kiwi three ... a lot of people don't wanna be holding Elllis or you're holding something that has a bit more weeks of its plot when I was with us and not everybody is a silver bullet or silver ball and we have not free of Wall Street Journal columnist Brett Aarons on the sky ... is with the Stand Ready there ... care who ... you ... are ... not so high and silver are you ... it is good as the tragedy of my life I keep getting colder and turn to talk about ... things when they're in a manic phase in the wrong things on board ... but talk about ... um ... lets ... me go ... this is not ... I did a piece of small bodies that this was Joinus on the market is is not offer a number of reasons ... and that doesn't necessarily mean that I am a ... day up from a pair of silver Argonaut or Speiss over to CheapTickets and Cipralex to gold ... it's not unless you wanna go back to the ... many ancient ... history ... in olden times when it was one its highest of backing of the Victorian era was like sixteen to one ... but in a bad relationship that price to a shifting for silver and gold has not existed for a long time by the standards ... a survey of the last ... several decades silver is now very expensive compared to gold I'd much rather have gold ... um ... as an investment of these novels ... this looks and smells like a maniac to me look at the price chart look at how fast it moved ... below my favorite some ... of ... the summer of ... scratch ahead things here's a look at the Sprott Physical Silver Trust ... the kids trading ... at about twenty three he traded two percent ... above face value in other words ... your factory now on and did that was on Friday ... you're already affected Bank fifty four dollars an ounce I guess it's up to one of the high fifties at this point ... of your praying about twenty percent more ... I mean it some will want to buy a closed end fund that invests in precious metals ... of before they rush of mice brought ... to please at least have a look ... at the Central Fund of Canada which is the granddaddy of all in bonds ... which is gold and silver and is trading at about the net asset value ... of ... watching people playing twenty two percent ... over the over market price of silver ... I'm easy Kiwi Test securing two traders QE three trade ... into the basement of paper currency trade ... I'm ... here with all these things ... in no silver or gold platinum ... when you have to look away or getting relative value ... of silver is suddenly gone manage their conspiracy theories out there ... that to ... get to really make a lot of sense ... it's the bloggers there of course ... in nineteen eighty everyone knows it is famously was the Hunt brothers tried to corner the silver market ... drove this grow the price of diesel spike in eighteen eighty ... despite now even that seems to me that I listen in nineteen eighty is located I think about Silber or royal weddings the line ... is this place now sharper than it was in nineteen eighty ... no I haven't got to heaven compare them side by side to that question ... um I just got back until you had this much in it ... in nineteen eighty eight was pre much despite ... because BP and the Huts came in ... they ... basically corner the market that all things up and in the CTCT Madan said ... the ... speculators are re about to sell so they had to sell ... out right now what you've had is you've had a real rally so it is it doesn't look like this um and shot it does look like a belly button state ... it's becoming like an entice you name it is just going straight up an up and I ... now feel usually liquids ... what's going on right now looks like a spike Sunday I mean it looks good when you see a price going up wasn't ... bubbles can go long I mean can make the smart thing to do is to get in on the bubble ... um ... because it's going to go even higher but into we are where if you're doing that ... be aware of what to do and be aware your trading ... in a ... solid to me would you buy silver was a forty nine dollars would you buy so we are not the only reason advice over forty nine dollars ... would be to make a quick trade in the hope it was going to go to sixty ... but you know what that's a real gamble to really gambling had his best ... to make that one with any published in eighteen ten everything has gone up so much stock school Moyle all the things ... you wonder why would you keep buying at this point but ... that's that's caught in March when the US and there is no ... credible dairy prices grateful to her ... and ... her ... I'm on a train is even now stakes in ICE equivalent of guys who proceed to just raisin as saying look ... this thing said he did but people keep coming back to buying it and ... you know it's ... less of a ... friend ... and we know about behavioral of Barron's in trading and investing we know Bob Carr devices ... we know that people respond to a stampede ... by joining in the stampede were hardwired I think from evolution ... um ... because when the crowd in OVERHEARD stampeded SCA's alliance appeared on the Savannah whatever ... so people standing to join the stampede that there's a instinctive reactions I gotta get in on it ... and what I've written today Mucha is ... is you know take a breather ... um I'm not ... a massive pair of precious metals ... other a loss of their all are essential organs of their precious metals investment or a Sicilian organs ... but some ... if you wanna be sensible when I would say is at the moment ... gold looks cheaper than silver on a relative basis ... most people get the stampede stand up getting stampede ad ... the idea that ... any field why were there last word ... on the silver market and the nominal ... not